A Family Affair Union Bancaire Privée (UBP) is one of the largest family-owned private banks in the world. But what makes UBP really unique is its corporate culture, which combines modernity and tradition. Although UBP was founded in 1969, its origins can be traced back to the 17th century and the start of a long line of financiers and diplomats of whom Edgar de Picciotto and his descendants are the successors. Today, the Bank's staff draw their inspiration and drive from the founding family's subtle blend of strong moral values and pragmatism, which to this day remain the key to UBP’s success. Certificate of donation of A tradition spanning eight Arabian horses to the stables of His Imperial and Royal Apostolic four centuries Majesty of Austria by Raffaele de Picciotto, dated 25 November 1805

Since its origins in Portugal during the Age of Discovery, A consular dynasty the de Picciotto family has been honing its skills in both diplomacy and trade over ten generations. This long line of In Aleppo, the Picciottos came to be held in high esteem. successful merchants and high-profile consuls is represented In 1784, as embassies were multiplying, Raffaele Picciotto today by the family bank, which was founded by Edgar de was chosen by the Habsburg family to represent Austrian Picciotto in 1969. interests in the region. He was later promoted to Consul General and awarded a knighthood, which afforded him the nobiliary particle "de" in The Silk Road front of his surname. His descendants followed in his footsteps, achieving successful diplomatic careers as representatives The Picciotto family history starts with exile. Ordered by royal of Austria-Hungary, but also forty other states, including decree to convert – like many Jewish families in Portugal Tuscany, Denmark, Sweden, Norway, Prussia, Belgium, the and Spain at the turn of the 15th century – the Picciottos Netherlands, Russia, Spain and the United States. decided to leave and head for the Mediterranean basin. They reappeared in 1630 in Livorno, in Tuscany, as merchant Eventually, following the opening of the Suez Canal and the shippers, but also in Aleppo in Syria, which was still a major colonial conquests in the 19th century, Aleppo’s prestige hub on the Silk Road in the 17th century. There, one of the faded, and the de Picciottos decided to move their trading Picciottos made his fortune importing goods from Europe, business to Beirut, a promising city where they owned stor- and exporting dates back from Iraq, mocha from Arabia, age near the port. This was a new start for the family, marking mastic gum from Chios, natural pearls from the Red Sea the end of over a century in diplomacy. and even ostrich feathers from Africa. His extensive business network enabled the family to develop and strengthen its influence in the region. View of Beirut from the village of Harissa Edgar de Picciotto, Founder of UBP From diplomacy to finance

Business acumen and the art of diplomacy are the two Financial acumen assets on which the de Picciotto family built its success. This valuable legacy laid the foundations for Edgar de Picciotto’s In 1954, after his studies, Edgar de Picciotto settled in strong network and ambitious goals. Switzerland. His father-in-law, a shareholder in several banks in Geneva, encouraged him to take a closer interest in the world of finance and organised internships for him at some investment houses in the city, which confirmed his “Ethics are at the very heart remarkably sharp business acumen. In the City of London and the United States, he discovered the growth model of of our family, and continue mergers and acquisitions and drew inspiration from it. In 1956, he joined Société Bancaire de Genève and started to drive our every action.” on a career path dedicated to wealth management – a path he would never leave.

Guardian of a tradition Early successes

Edgar de Picciotto was born on 4 October 1929 in Lebanon, Edgar de Picciotto put his heart and soul into growing Société where he and his two brothers grew up in a very strict house- Bancaire de Genève. Profit was the order of the day and his hold. This upbringing shaped his habit of putting ethics at reputation as an astute financier grew rapidly. Thirteen years the centre of both his professional and his personal life. The later, he had contributed to raising the bank’s turnover to family dinner table was always lively with discussions about exceptional levels, never to be equalled after his departure. trade and business, instilling in the young Edgar the same taste and talent as his forefathers for taking calculated risks and investing in new areas. The birth of a bank

Having been introduced to the world of finance by his father- UBP in 1990 – has never stopped growing and is now a in-law, Edgar de Picciotto quickly showed an innate talent highly respected institution. Having crossed the threshold for business and outstanding financial engineering skills. of CHF 100 billion in assets under management, and with more than 1,500 members of staff spread out in some twenty locations across the globe, UBP has achieved more in its five From CBI to UBP decades of existence than many banks who were founded centuries before. Edgar de Picciotto was determined to found his own bank and in 1969 he created Compagnie de Banque et d’Inves- tissements (CBI). It is an interesting footnote to this history that the name “Union Bancaire Privée (UBP)” that he wanted to give to his bank was refused by the commercial registry, which deemed it too grandiose for a young company with a capitalisation of just CHF 8 million. However, the determined young entrepreneur would have his way eventually. At the end of the first financial year, the results were in: substantial earnings and twenty people working alongside him. In just half a century, the Bank – which would finally take the name

The cheque that bought American Express Bank, CBI’s offices on the Cours des Bastions 28 February 1990 in Geneva from 1972 Understanding change Growth through acquisitions

In 1973, US President Nixon suspended the convertibility of From the outset, Edgar de Picciotto knew that the Bank the dollar into gold. When the news broke, Edgar de Picciotto had to reach critical mass and two options were open to immediately converted the Bank’s capital into gold, and all its him: organic growth or a large-scale acquisition. The rest dollar holdings into Swiss francs. Seven years later, the dollar is history. Following an initial string of smaller acquisitions, had halved in value and gold had risen from 70 to 800 dollars the Bank quadrupled in size with the takeover of American an ounce. This choice would bind Edgar de Picciotto’s name Express Bank in 1990. At the time, this CHF 1.2 billion deal to gold for years to come. At around the same time, following was the biggest bank merger ever in Switzerland. To date, a visit to the United States, he realised the full potential of the Bank has made close to twenty acquisitions, including hedge funds. He was one of the first people in Europe to be several major deals: DBTC in 2002, ABN AMRO in 2011, convinced that using outside talents and alternative asset Lloyds Private Banking in 2013 and Coutts International in management techniques would be true measures of success. 2015, opening the door to Asia. Thirty years later, the Bank would reap the rewards of this choice by becoming a leader in hedge fund selection.

Building at 8 Place Camoletti UBP headquarters in Geneva at 96-98 rue du Rhône in Geneva A culture inspired by conviction

Edgar de Picciotto is often described as a visionary. However, Think differently for him, this quality does not merely imply foresight or intuition. Above all, it rests on an ability to think differently Today, the commitment of UBP’s staff is testimony to the and is an integral part of the working methods of UBP and corporate culture inspired by its founder, who has imbued its people: understand movements and trends, form your the Bank with his values and personality. In just half a own opinion, build convictions without blindly following the century, Edgar de Picciotto has succeeded in building a crowd and act accordingly. highly successful bank, pairing family values with a culture of excellence. It is this foresight that, today, makes UBP unique.

The art of anticipation

Banking is at the very heart of today’s economic and finan- cial world: government actions, central banks’ decisions, “UBP’s independence is announcements, mergers. Integrating all this information and knowing how to anticipate the consequences, especially not just financial; it’s also when it comes to wealth management, requires not only in the way it thinks – its expertise, but also creativity. It is this skill and careful analysis that sets one bank apart from another. ability to think differently.” Sphere, Arnaldo Pomodoro, private collection From one generation to the next

Edgar de Picciotto, Founder of UBP Continuity of governance

Edgar de Picciotto has always seen his Bank as an endeav- our, and the principle of family legacy is very important to him.

Today UBP still belongs to the de Picciotto family, which controls the Bank through CBI Holding SA. Upholding this “Transparency is an intrinsic legacy are Daniel de Picciotto, who has held a seat on the Board since 2010 and became the Chairman in 2016, value in running a family Anne Rotman de Picciotto, who has been a Board member business. Above all, it guarantees since 2006, and Guy de Picciotto, who has served as Chief Executive Officer since 1998, overseeing the Bank’s our clients a long-term vision and operational management. uncompromising management.” This second generation of the family has been managing the business for several years, ensuring continuity of governance. UBP can thus lay claim to a successful legacy. The spirit of continuity

A successful legacy

Guy de Picciotto was nine years old when his father created what would become UBP. For as long as he can remember, he was always immersed in the world of finance, which prepared him for a career in the industry.

Although he was originally interested in innovation and technology, the chance to run UBP and to continue its development was a challenge to which he wanted to rise. However, before joining the family business in 1988, Guy de Picciotto learned the ropes of his profession elsewhere, first at a consultancy in Switzerland, then in the United States, where he discovered the world of investment banking. He then spent ten years working in various positions at the family bank, before taking over as executive manager in 1998. Since then as CEO, with his brother Daniel de Picciotto and his sister Anne Rotman de Picciotto at his side, he has focussed on continuously adapting UBP to its environment, paying particular attention to regulatory and technological developments.

Guy de Picciotto, CEO A long-term vision

Anne Rotman de Picciotto followed in the footsteps of her Daniel de Picciotto joined the family business in 1985. siblings by also joining the family firm. She worked for an He held high-level posts, as head of Private Banking and investment bank in London for a few years, obtained an Asset Management, for several years. In 2010, he stood MBA and joined UBP in 2002. She focuses on developing down from the Executive Committee to join the Board the High Net Worth and Institutional businesses. She became of Directors and thus take a more active role in shaping a member of the Board of Directors in 2006 and currently the Bank’s strategy. He was elected as Board Chairman also sits on the Bank’s Audit Committee and Remuneration in 2016. Marc, the youngest of the children, pursues his Committee. own entrepreneurial activities.

Anne Rotman de Picciotto, Daniel de Picciotto, Member of the Board of Directors Chairman of the Board of Directors A passion for finance

Under its leader’s impetus, UBP has always focussed exclu- Based in Switzerland, looking out to the world sively on the business in which it excels: managing assets for private and institutional clients. Since its creation, the As an international institution, the Bank enjoys a subtle blend Bank has built an even more solid reputation as an expert of cultures and nationalities, the result of all the acquisitions it in finance. Its staff and clients come to UBP for its high has made over the last thirty years. At the same time, UBP is standards, its ceaseless quest for performance and its ability deeply attached to its roots – such openness, coupled with to deliver bespoke products and services. These are the very solidity and tradition, enhances its thinking and underpins qualities clients expect of an entrepreneurial bank, and UBP its unique investment philosophy. is proud to possess them.

Preserving wealth

As a family business, UBP understands the challenges faced by similar institutions, especially in terms of legacy, planning, investments and cash flow. Its primary objective “We expect the same is to protect its clients’ wealth. Similarly, the de Picciotto excellence of our staff as family seeks to preserve the financial solidity of its business in order to guarantee its longevity and to be able to pass our clients expect of us.” it on to future generations. For its clients, this is a mark of long-term security. New York Istanbul Tokyo Bermuda Tel Aviv Shanghai Nassau Dubai Hong Kong Taiwan

Singapore

London Brussels Frankfurt Jersey Luxembourg Basel Melbourne Paris Zurich Lugano Geneva Milan Monaco

Madrid

UBP’s worldwide network

Into the digital age

A taste for innovation Part of the digital revolution

The agility that characterises UBP has always been, and UBP is convinced that the digitalisation of the financial remains so today, a key factor of its success. Being a family industry will be of benefit to the sector’s players – clients bank on a human scale is a major advantage which ena- and staff alike – and has opted to ride the digital wave bles UBP to stay at the forefront of new trends, anticipate which is influencing its own business model. While the Bank developments and adapt to them. This is especially true in is well aware that trust cannot be digitalised, it has made the case of the current digital revolution, which is an area of considerable investments to improve the client experience particular interest for the de Picciottos. The family is investing and optimise its operational processes. Providing relevant privately in technology funds and e-commerce companies, information in real time as well as interactive mobile solutions as is the Bank, creating multiple opportunities for its clients. for clients is an essential requirement for the future success For several years, UBP has invested in companies whose of the wealth management profession. business models are disruptive and transformative. Commitment and responsibility

Patronage has always been a moral imperative for UBP. Responsible investing Under its founder’s leadership, the Bank has been supporting causes in the fields of research, education, and culture for The Bank signed up to the United Nations Principles for many years. Responsible Investment (UNPRI) in 2012, demonstrating its commitment and determination to support the cause of responsible investing. In 2018 we reinforced our Education, community and culture Responsible Investment Policy, extending certain ESG requirements to our entire range of products and launching Since it was founded, UBP has been involved in sponsorship a strategy focused on companies that have a positive impact in the various countries where it has a presence. Supporting on society and the environment. UBP also works with the education for young people, innovation, entrepreneurialism Cambridge Institute for Sustainability Leadership, and is a and cutting-edge solutions in new financial technologies member of Swiss Sustainable Finance (SSF) and Sustainable (Fintech) is essential for the Bank. It is with this in mind that a Finance Geneva (SFG). partnership with INSEAD in Paris and Singapore was signed, and the de Picciotto Chair in alternative investments was endowed in 2003. A company that gives back

Other sponsorship schemes set up by Edgar de Picciotto Knowing that the future is built on tomorrow’s talent, UBP include the creation of an applied biosciences institute with gives back to its staff through training. Beyond the training over 100 researchers; he and his wife also financed the programmes that the Bank offers, it is also dedicated to construction of student accommodation in Geneva. The Bank developing an internship program for students. For UBP, regularly runs programmes for the local community, thus supporting up-and-coming young talent also means supporting charities both in Switzerland and worlwide. sponsoring artistic creation, its favoured areas being the theatre, classical music, and audiovisual arts. As a family business, UBP encourages innovation, entrepreneurial spirit and creativity in the younger generations.

“Yesterday no longer exists; it’s tomorrow that counts.”

Edgar de Picciotto

Edgar de Picciotto passed away on 13 March 2016. He will continue to be a role model and a source of inspiration for all of UBP's staff. www.ubp.com